CALGARY, AB--(Marketwired - May 10, 2016) - FLYHT Aerospace Solutions Ltd. (TSX VENTURE: FLY) (FLYLF) (the "Company" or "FLYHT") a leading provider of real-time data communications technology for the aviation industry today reported financial results for its first quarter ended March 31, 2016.

"FLYHT reported the second-highest revenue on record and made shipments that we anticipate will position FLYHT for a strong second quarter," stated Thomas R. Schmutz, Chief Executive Officer of FLYHT. "The value of AFIRS units that we shipped during the first quarter was a new record high for the Company."

First Quarter Results Include:

• Revenue of $2,611,331 in the first quarter, a 1.6% increase from Q1 2015.

• Recurring revenue (voice and data services) of $1,067,707 showed an increase of 10.8% over the first quarter of 2015, and parts sales of $1,028,412 was an increase of 22.4% from the first quarter of 2015.

• Net loss for the quarter at $1,242,942 after a $540,450 charge on settlement of an OEM customers' warrant claim, compared to a loss of $60,414 in the same period last year.

• Modified Working Capital at the end of Q1 2016 of negative $3,640,257 compared to negative $3,306,055 at December 31, 2015.

• Customer deposits of $698,561 at quarter end, an 18.0% decrease over the first quarter of 2015; payments received of $913,448, were 92.0% higher than the same quarter of 2015 and the value of deposits moved to unearned revenue increased 198% compared to Q1 2015.

• Unearned revenue increased to $1,953,012 or 45.1% higher than the first quarter of 2015 or 70.5% higher than December 2015; revenue recognized on AFIRS units shipped was lower than in Q1 2015 as units shipped late in 2015 were lower than late in 2014 resulting in clients installing nine kits in Q1 2016 compared to 15 in the prior year quarter. AFIRS sales shipped not accepted in the first quarter exceeded the fourth quarter 2015 by $821,162 or 198.2%.

• Administration expenses increased to $638,427 or 15.8% compared to the first quarter of 2015.

• R&D expense increased to $638,427 in Q1 2016, after inclusion of $540,450 settlement of an OEM customer's warranty claim, from $551,471 in the first quarter 2015.

• Distribution expense increased $368,953 due to additional resources compared to the prior year.

• In the first quarter of 2016 FLYHT signed a strategic partnership contract with Flight Data Services and a sales representation agreement with Tri-Wing Aviation Resources.

• In April 2016, subsequent to the end of the first quarter, FLYHT received the first US $1.5M milestone payment from the Intellectual Property License agreement. The remaining milestone of US$1.0M is expected in the second quarter after transfer and training.